Member Info for Porky9

@Siennaj

You probably need a little bit of perspective here, those in the recent penny placing, even with the retrace following the boiler rooms ongoing departure here, are still as at todays 1.7p Bid sitting on a very nice 70% gain. Not bad.

There is a general perception on many of these boards at LSE that because a companies market cap is low, it somehow makes it a bargain buy. It doesn't! Its low for a reason.

Situation here is that this is a consultancy business and as such they need to keep winning new accounts just to stand still to make up for consultancy contracts coming to an end. Meanwhile the biotech funding drought has added additional pressure to business as its made it materially harder to both retain and win new accounts.

Assuming the cost base remains the same, not sure what deal the new COO recently joined is on, at last financial statement they needed about £600k of new revenue to reach break even. They have just won a £125k contract and a low value deal so still a way to go yet.

The new appointment sounds like a great add to the business and he has financial connections. My call here is that he will find his feet, they will do another penny raise to bolster working capital, he may support alongside plus some options and at that point they will have the funds to diversify more which is something i understand Jim wants to do.

In the meantime the SP remains Volatile not least with the boiler room P&D but the SP will settle back and a SP in the 1.3p range feels more realistic to me until they can diversify.

After all what exactly has changed here in the last few weeks? An additional board member has joined and a £125k order plus an unspecified one - is that worth a 70% increase in its market value? I don't think so, its just as a result of the P&D crew.

Good luck anyhow, the journey has started which is a positive, i might join at the next placing if they can illustrate a solid plan to break even,

@Laura

Appreciate you are a fan but don't try and catch a falling knife

The boiler room are moving on hence your chat numbers are moving towards the norm, SP should settle back in the 1p range until revenues become more certain. let it settle then add for the longer term if you want to.

Good luck

@ART123

I really like this stock for its potential, just massive

But just like you i do feel Lorna during the presentation kind of hinted that more cash will be a likely requirement. Only my view differs slightly from yours in so much that a placing any moment pre spud i think is bad for shareholders discounting from 6.8p. They strike Helium and its extractable the SP is off the scale and it wont be an issue getting as much cash then as they need or they simply get taken out my a major. I would have preferred it if Lorna was rock solid confident and just said, "we are confident, we are going to spud and aim to deliver a result and on proving that we will then raise capital to support the extraction phases"

So its kind of a confidence call from Lorna as i see it, if she has called it wrong and the spud delivers FA the stocks a write off and to raise more cash then i think next to zero hope. If she raises now at discount she destroys the mcap but has money for a second go. Someone dumping 1.7m shares doesn't fill me with confidence, do they know something i don't? So my vote is for a placing post success and i hope that's the case.

Stock as i see it remains a binary play, either they find Helium or they don't. Massive returns if they do, kiss your cash goodbye if they don't but, lets not get diluted to oblivion before we find out..... DYOR

Not bad to double your money in two days,,,

The big issue this stock has had over the years is that it’s a consultancy business at the end of the day. They need to keep wining new consultancy contracts, the recent news that they had a £125k win is great and let’s hope this helps them towards winning more of them and finally getting towards break even.

It would be a significantly stronger play if the existing client book renewed but it doesn’t and the client acquisition costs for new orders remain high. That being said, it’s mcap was worth more than 1p all day long.

@Freddeboy

Well on the other hand, I'm not the one here still holding knowing that I'm about to get diluted to oblivion by a discounted raise any moment - more fool you.

@TDK

So by your ridiculous logic, despite me being HNW if I did as you suggest live in a council house next door to Suzy where I watch over her fence then suzy owns the adjoing semi?

Just pointing out Suzy earns £160k a year plus bonus that you are paying for. Even before she took this post she was earning £80k a year so I hardly think she is living in some doss house do you.

Stop posting personal insults and stick to the investment debate

Oh please @PM2022 every other post of yours you are buying more stock....

The big elephant in the room here is that no matter how you rampers spin it, no matter what new evaluations they might take on, or lab acquisitions they make or set up new sub company at companies house and call it an SPV, the fact remains that NOTHING, ZERO, ZILCH, NOTHING can bring enough revenue in to fund operations. They need to cover £200k cash burn PCM and that can only be done by supporting investors placing cash. Its that simple.

Adding a few extra lab contracts isn't enough and wont cut it. IF they won half a million quid's worth of lab contracts before the year is out (highly unlikely) it gives them what... another couple of months runway.

Ideally they could do with raising £2.5m but that's going to be tough in this climate and can only come at significant discount. Lets see how events unfold. We will all know soon enough.

My call is that they will try and bridge it with say £1m at 3.5p but that is ONLY IF Turner Pope can find support. To try and secure something like £2.5m you are probably looking at 2 pence at best IF they can get support. I don't think some here realise how challenging this market is for raising capital at the moment especially to support running costs.

Turner Pope just managed to get APTA over the line with £3.5m at close to a 90% SP discount. PYC came in at 50% discount for a mere £350k

Will soon now, see IF/ what they can secure

@RB

Its not a war is it?

I don't agree with echo chambers and the constant ramping is off the scale

Debate the stock not individuals.

Ridiculous and VERY childish to paint me as some pervert that lives next door to Suzy

be real.

@Metom

1/1/24 is early next year

They are a listed business, ideally they need at least a two year cash runway.

Certainly more than a 12-16 week window that’s for sure

@SamBar

Assume you and 412069 are one of the same person

You will be posting next that I was trying to shag Duncan at 4D, Lorna at HE1, Jim at PYC and let’s not forget the previous claims I was shagging Claire here at LSE

It’s all very childish you know, time to pack in personal insults and debate the investment.

If I wasn’t thick skinned I would be instructing solicitors to take you to the cleaners. Just be careful, there is banter and there is crossing the line, you are getting close.Be warned.

LOL

Every man and his dog has owned shares at some point in this, 15 raises, three 125:1 consolidations, 5 raises under Suzy and 6th due any moment - don’t be so ridiculous

They will need a new broker soon, Turner Pope did the July 22 and the Jan 23 raise, their clients have been rinsed, CENKOS client base was rinsed before that, options are running out, my view remains that a Raise now will come at significant discount, market conditions have changed.

How can you @PM2022 still claim a cash runway to mid 2024 when results out today clearly show its to the year end? The annual loss is £2.4m the loss was just shy of £1.1m in H1 they have just under £800k left end of June, admin costs are up by a third. Dont be so ridiculous they need to secure that raise soon.

Leave you lot to your happy ramping, meanwhile rest of market not so stupid they can read

They will be talking to Turner Pope now if not already to try and secure placing support.

PYC took a 50% discount to secure £350k APTA took near 90% discount to take £3.6m

I’m not saying VAL will fail, I’m saying if they can secure £1m at 3.5p they will do well BUT you are asking investors to back another 4 months cash burn?

What they need is another £2.5m raise and I just think that will be a struggle in the current climate but each to own

See how it goes, let’s see IF/ what level they secure support at

Proves the cash runway is out end of year

Amazed the SP didn’t crash but looks like a couple of early doors strategic buys kept it positive

We all know how this game is played

Acid test now is IF and at what price they can secure support at

Good luck

Jesus wept, shame on both of you two still pumping this

And specifically you @PM2022 you know full well they have to place, yet you keep spinning they have cash to middle of 2024 when you know full well the cash runs out end of the year and I have proven same to you three times.

Outrageous

Question is IF they can secure support or not? They will likely need Adam to tip up £500k and if I was him I would know what my answer would be. You are right that the guy should have been given a board position but they didn’t, yet another blunder and now they have lost the talent to APTA.

This needs BOD changes, material reduction in cash burn and direction change for it now to be investable.

Good luck with it.

Half year Report should be out 31/8 unless they delay it

Will show significantly increased cost base and cash burn

Will confirm need to place shortly

Possible they could withhold H1 as it won't make great reading until ready to release with placing news IF they can secure support.

Good luck rampers in painting a positive out of that one......

@MAJWandCo

Yep, you are totally right, would have been a place buyer at 1p as a trade for sure and out with half at 2p to be in for free - stand by that. Would also be top slicing on any spikes.

Not totally convinced on the growth and cost ratio but the raise cash provides a decent runway to sort it so see what they do.

Good luck to you, jury out on this one, down to them to deliver.now

Looks like a filled sell to me, hence why the SP tanked, they got in ahead of the shares being listed on Monday.

@Chatty

Well as they say "timing is everything"

A beautiful bit of trading selling 12.5m of shares filled at 2.15p £ 268,750 brought at 1p - Bagging £ 143k of profit for just a few weeks work. Doesn't help anyone else but talk about being in the right place at the right time - very nice, i doff my hat to them.

Thought the penny placing buys were being listed on Monday but guess a few deals can be done if you have the contacts and can get in quick. Expect SP will fall in line with the placing come Monday, there will be a fair few grabbing a cool 25% quick gain - profit is king at the moment.

As for longer term, once the dust settles worth a review, Director share scheme mighty generous that would irritate if i was a LTH, growth projection to double from £3m to £6m in 2024 looks adventurous and need to see if costs will come back under control or if Directors will quickly start getting greedy again as revenues increases. Can old habits die hard?

Early days but good luck with this one...

@Louis10

I’m actually on the same page as you with your thought process.

Currently hold 1.750m shares so would certainly prefer a raise post first spud success where the SP would be more likely 20x or more than where we are now rather than pre-spud at massive dilution at low prices.

But lets be real here, we see it so so many times on AIM don’t we where the directors have next to zero skin in the game, they don’t give a flying fig. Their priority is to ensure the gravy train of drawing obscene salary levels that they wouldn’t deserve or earn anywhere else continues and de-risk the situation to support own interests irrespective of outcome.

If you think about it, a raise pre first spud would get supported for sure as we are all speculating at the end of the day. This is a 100% binary outcome penny share play. They will either strike extractable Helium and we are all in the money and lets face it we have all waited what feels like an absolute eternity to find out, or they wont and the investment is practically a write off. Only invest here what you are prepared to gamble as that's what this is. A Black or Red bet 50/50 bet.

But if they don’t strike Helium on this first spud, not only will the share price crash totally but their chance of a further raise will be next to zero with it as i see it.

So I’m in the @Louis10 camp, I don’t want them to raise pre spud, they don’t need to raise pre spud but my gut feeling is, they likely will. Its in their interests to do so, not ours.

Anyone know what headroom they have for more equity issue? I lost track from the presentation but will likely watch it again the weekend after the lionesses beat Spain and the world cup comes home…. :) GLA

Pork's

@Laura2022

Appreciate you are incredibly bullish But your understanding of the Valirx 201 deal is incorrect. Yes, PYC under the arrangement they have with Valirx agreed to a 6% royalty deal in lieu of the consultancy work they carried out on 201.

In the event that the deal is ultimately executed by THX the first year of the proposed deal delivers £1.3m to VAL of which 6% ie £ 78k would be paid to PYC. and there are milestones on success after that.

However, IMO the deal wont get executed anyhow, THX is a US start up and its been two years and they still cant get funded. VAL will need their own raise shortly and its 50/50 IMO if they can get that over the line. I wouldn't bank on Jim seeing the colour of any cash from this deal anytime soon.

Frankly, I would rather see Jim charge in full for his services and not do freebees on a promise note but i totally get he was forging a relationship for future business and his reasons.

Your other research points are sound but i wouldn't factor this one into your calculations.

Good luck

@nomlunngu

It's not a massively active company, It's simply another lab near their own rented lab in Medicity, a micro business see:-

https://find-and-update.company-information.service.gov.uk/company/08181666

The more partnerships the better but at the end of the day its only INVOICED revenue that counts now.